Moderators are inherently going to not be respected by those they moderate, because the interpretation of rules differs.

It is impossible to both moderate and "earn the respect" of those you are moderating.

Actually, I would disagree with you here. If a moderator is not over zealous or heavy handed, but fair and even handed, then I would say that mod would earn the respect of at least some members, especially members that frequent the forums.

Just like the bad cop gives all police a bad reputation, a bad mod gives all the mods a bad reputation.

Perhaps DPR needs a training course for mods. Simply tossing them into the deep end of the pool doesn't seem to be working.